Cyient Q4 net jumps two-fold at Rs 103 cr

Bengaluru: Engineering services company Cyient Ltd posted a more than two-fold rise in its net profit at Rs 1,03.1 crore in the fourth quarter ended March 2021.

Gross revenues of the Hyderabad-headquartered firm stood at Rs 1,093 crore, a rise of 1.8 per cent over the same period of last fiscal year. In dollar terms, revenues were around $150 million, a growth of 0.4 per cent year-on-year basis. In sequential terms, revenues were up 4.7 per cent in constant currency terms.

For the whole fiscal year, Cyient posted a net profit of Rs 363.8 crore, which was 6.2 per cent rise against the same period of last fiscal. Gross revenues for FY21 stood at Rs 4123.4 crore, which was down by 6.7 per cent against FY20. In dollar terms, revenues were at $557 million, a de-growth of 10.9 per cent as compared to last fiscal year.

"Q4 FY21 performance was in line with our expectations. We will continue to invest in our key growth areas such as digital, embedded software, geospatial, and networks. For FY22, we are confident of double-digit growth. The aerospace business is on the recovery path and we expect the momentum to continue through the next year," said Krishna Bodanapu, MD & CEO at Cyient Ltd.

Operating margin of the engineering services firm was at 9.8 per cent, which was down by 140 basis points on sequential basis.

"The company is embarked on initiatives for cost optimization, operational efficiency and profit improvement. These initiatives, coupled with our enhanced digital capabilities and process optimization, bolstered the growth of Cyient this year and would continue to yield good results in future. We continue to pursue avenues for organic and inorganic investments," said Ajay Aggarwal, President and CFO at Cyient Ltd.

Giving revenue guidance for the ongoing financial year, the company said it is hopeful of achieving double-digit growth rate without giving any range. It, however, added that its revenue would witness a decline due to drop in DLM (design-led manufacturing). "The efficiency improvements, which started in FY21, will continue in FY22 and for the full year we expect the margins to improve by roughly 200 basis points," the company said.